Tennessee Gas Pipeline Company

FIFTH REVISED VOLUME NO. 1

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Effective Date: 09/12/1999, Docket: RP99-297-001, Status: Effective

First Revised Sheet No. 320 First Revised Sheet No. 320 : Effective

Superseding: Original Sheet No. 320

GENERAL TERMS AND CONDITIONS (continued)

8.4 PTR Imbalances - Transporter will provide estimates of the Plant

Thermal reduction (PTR) quantities associated with receipts at receipt

points on its system. Estimated PTR quantities will be adjusted to

actual as soon as available. The difference between estimated and

actual PTR quantities will be cashed out at the 0-5% tolerance level,

as specified for the applicable receipt point(s) in Transporter's LMS-

PA Rate Schedule. To the extent that Transporter's estimated PTR

quantities result in Shipper incurring imbalances related to other

components of the gas stream, such imbalances will also be cashed out

at the 0-5% tolerance level as set forth in the LMS-PA Rate Schedule.

In the event Shipper has PTR extracted for its account and has failed

to nominate PTR transportation, then all unnominated PTR quantities

will be cashed out at the 10-15% tolerance level, as specified for the

applicable receipt point(s) in Transporter's LMS-PA Rate Schedule.

9. Reserved for Future Use

10. Availability of Capacity for Firm Services

10.1 Availability of Capacity for Conversion Transportation - Upon the

effective date of the Compliance Filing in Docket No. RS92-23,

capacity in Transporter's pipeline system will be made available to

Shippers which convert from firm sales to firm transportation in

accordance with the following:

(a) Market Area Capacity - A Shipper converting under Rate Schedules

FT-A shall be provided access to mainline capacity downstream of

Station 87 (or upstream of that point where appropriate for

Shippers located upstream of Station 87) in an amount equal to

the amount the Shipper has converted from firm sales to firm

transportation under Rate Schedule FT-A. A shipper converting

under Rate Schedules FT-G or FT-GS shall be provided access to

mainline capacity in an amount equal to its average day

entitlement. The remainder of the FT-G or FT-GS Shipper's MDQ

shall be converted to firm transportation from storage to the

city gate.

(b) Supply Area Capacity - A Shipper converting under Rate Schedules

FT-A, FT-GS or FT-G shall be provided access to mainline

capacity upstream of Station 87 in an amount equal to the amount

of capacity that it is entitled to as general mainline capacity

downstream of Station 87 under Subsection (a). The Shipper

shall be provided a percentage of this total amount on each of